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Postal Fixed Rate Bonds

Fixed Rate Bonds are ideal if you want to be sure of the exact rate of interest your investment will earn. Our Fixed Rate Bonds offer a fixed rate of interest over the term of the bond.

Your interest is calculated daily and can be paid when the bond matures or as a monthly option. Because your money is tied up for a fixed term, you should only invest if you’re confident you won't need to access your money during this time.


Postal Fixed Rate Bonds
23 Month Fixed Rate Bond (Annual Interest) Learn More
£1 minimum investment Access is not permitted for the term. Annual Interest Rate
  • Gross p.a./AER*: 3.90%
  • Net: 3.12%
Interest rates effective from 25/01/2010
23 Month Fixed Rate Bond (Monthly Interest) Learn More
£1 minimum investment Access is not permitted for the term. Monthly Interest Rate
  • Gross p.a.: 3.83%
  • Net: 3.06%
  • AER*: 3.90%
Interest rates effective from 25/01/2010
4 Year Fixed Rate Bond (Annual Interest) Learn More
£1 minimum investment Withdrawals are only allowed by post subject to a loss of interest depending on the remaining term of the product Annual Interest Rate
  • Gross p.a./AER*: 5.00%
  • Net: 4.00%
Interest rates effective from 26/11/2009
4 Year Fixed Rate Bond (Monthly Interest) Learn More
£1 minimum investment Withdrawals are only allowed by post subject to a loss interest depending on the remaining term of the product Monthly Interest Rate
  • Gross p.a.: 4.89%
  • Net: 3.91%
  • AER*: 5.00%
Interest rates effective from 26/11/2009
5 Year Fixed Rate Bond (Annual Interest) Learn More
£1 minimum investment Withdrawals are only allowed by post subject to a loss of interest depending on the remaining term of the product Annual Interest Rate
  • Gross p.a./AER*: 5.10%
  • Net: 4.08%
Interest rates effective from 23/12/2009
5 Year Fixed Rate Bond (Monthly Interest) Learn More
£1 minimum investment Withdrawals are only allowed by post subject to a loss of interest depending on the remaining term of the product Monthly Interest Rate
  • Gross p.a.: 4.98%
  • Net: 3.98%
  • AER*: 5.10%
Interest rates effective from 23/12/2009
3 Year Fixed Rate Bond (Annual Interest) Learn More
£1 minimum investment Withdrawals are allowed subject to loss of interest depending on the remaining term of the bond Annual Interest Rate
  • Gross p.a./AER*: 4.50%
  • Net: 3.60%
Interest rates effective from 08/02/2010
3 Year Fixed Rate Bond (Monthly Interest) Learn More
£1 minimum investment Withdrawals are allowed subject to loss of interest depending on the remaining term of the bond Monthly Interest Rate
  • Gross p.a.: 4.41%
  • Net: 3.53%
  • AER*: 4.50%
Interest rates effective from 08/02/2010

If you're not sure which savings account you'd like to open, compare our other Telephone Short Term and Telephone Long Term savings accounts.


Gross is the contractual rate of interest payable before the deduction of income tax at the rate specified by law.

*AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year. As every advertisement for a savings product which quotes an interest rate will contain an AER, you will be able to compare more easily what return you can expect from your savings over time.

NET rates are illustrative only, allowing for the deduction of income tax at 20%. If you are a higher rate tax payer, you may have a further amount to pay. If we deduct more tax than you have to pay this can be reclaimed from HMRC.

Current and previous Bank of England interest rates can be found at www.bankofengland.co.uk/monetarypolicy/decisions.htm

For telephone line opening times, please read the information in our contact section. Calls may be monitored and recorded for security and training purposes. If you're calling from outside the UK, please dial +442920781145.

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